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| Monday, February 07, 2005 |
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Napster competes with Apple's iTunes
2/7/2005
Napster recently announced its Paid Subscription service which will allow users to download thousands of MP3 songs at a very low price. Napster has now become a legal music site. Napster started as a File Swapping tool for internet, but soon was served copyrights voilation notices by many companies and artists. Apple's iTunes made a great year by making record sales and downloads of online music. Napster will provide a better and larger collection of music at just $15 per month. Napster came up with the plans to get its pie from the user base of Apple's iTunes with the launch of a massive ad campaign.
Napster offers a subscription music service. For $15 a month users can choose from a library of 1 million songs. Apple charges 99 cents per download, which is quite high compared to Napster's service. And in addition, Napster has a bigger collection.
Alan Cohen was very confident to uproot Apple's iTunes with their current offerings. Alan is chief marketing officer for Napster.
Infact, compared to the price one pays to download a single music file using Apple, Napster's $15 is no amount at all.
Apple has signed a 'bottle cap promotion' deal with Pepsi offering 200 million free songs and 1700 free iPod mini players. Motorola was keen on joining the Online Music industry and provide better services to their existing customers. Motorola signed a licensing deal with Apple which makes their iTunes technology compatible with the Motorola cell phones. This could give an extra edge to Motorola.
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| posted by Perimbean @ 3:00 PM |
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